San Francisco-based firm, Huma Finance has completed its $38 million funding round. In a Wednesday Twitter post, the firm confirmed the milestone, emphasizing its commitment to expand its payment financing project PayFi.
Huma Finance, as part of its goals, also intends to hop to two new chains – Solana and Stellar’s Soroban smart contract network. With that, the protocol is aiming to widen its reach and solidify its presence in the world of tokenized real-world assets (RWAs).
Huma Finance’s funding round used a dual strategy, with $10 million coming from a direct equity investment spearheaded by Distributed Global, a top venture capital firm. Other participants in the funding round are Hashkey Capital, Folius Ventures, Stellar Development Foundation, and TIBAS Ventures. Meanwhile, according to the announcement, the remaining $28 million is tied to yield-bearing assets that have been successfully integrated into Huma’s payment platform. In this segment of the funding round, the Stellar Development Foundation contributed $10 million.
The co-founder of Huma Finance, Erbil Karaman shared more insights into these yield-bearing real-world assets. Karaman described these assets as multi-layer bonds, featuring unique maturities. He added that these RWAs are also bundled into exchange-traded products issued by Arf Capital. This approach, according to the exec, aligns with Switzerland’s digital ledger technology regulations.
Huma Finance & Its Merger with Arf
Earlier this year, Huma Finance embarked on a merger with Arf, with the intention to broaden its focus on RWA tokenization. In spite of the merger, both firms have chosen to run independently though under a shared holding firm. However, they both deliver a full-service platform for tokenized assets. Blockchain plays a crucial role in the efficiency of these assets, delivering faster transactions and better transparency.
Also, Hashkey CEO Chao Deng says Huma Finance’s concept represents a revolutionary shift in payments. He emphasized how Huma’s offerings will bring liquidity and interoperability to a sector that has been plagued by inefficiencies. Furthermore, Deng said that its recent investment round marks a crucial step in its commitment to building an ecosystem that’s powered by blockchain.
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